In response to the Gyeongnam provincial government's announcement that it will not provide provincial funding for the government's "Rural Basic Income Pilot Project" due to its strained local finances, opposition voices are rising.
The "Rural Basic Income Pilot Project" is an initiative led by the Ministry of Agriculture, Food and Rural Affairs, targeting counties at risk of extinction due to population decline and rapid aging.
Through a public contest running from September 29 to October 13, six counties will be selected as pilot areas from among 69 counties nationwide experiencing population decline.
Residents registered in the pilot areas will receive a local gift certificate worth 150,000 won per month as basic income for two years, from 2026 to 2027. The funding for this amount will be covered by 40% from the central government, 30% from the provincial government, and 30% from the county government.
In Gyeongnam Province, the counties experiencing population decline are Geochang, Goseong, Namhae, Sancheong, Uiryeong, Sancheong, Hadong, Haman, Hamyang, and Hapcheon, totaling ten locations.
The Rural Basic Income Movement Gyeongnam Union, the National Federation of Fishermen's Associations Gyeongnam Headquarters, and the Western Gyeongnam Democratic Reform Council are holding a press conference demanding the provincial government's financial support for the rural basic income pilot project in Gyeongnam. Photo by Lee Seryung
On September 15, the Gyeongnam provincial government sent an official notice to these counties about the pilot project application, stating its policy that there would be "no provincial funding (support) for securing local government funds."
The province explained that, due to local fiscal conditions, it is unable to allocate provincial funds to new projects. This is because 98.2 billion won in provincial funds was spent on recovery in flood-affected areas such as Sancheong following extreme rainfall in July, and an additional 14.2 billion won in provincial funds will be used for the farmer subsidy, which will more than double from 29.8 billion won to 44 billion won starting next year.
For example, in Namhae County, the amount to be received by all 39,000 residents would total 70.2 billion won annually, requiring approximately 42.1 billion won in local government funding alone.
The cost-sharing ratio for local government funds can be adjusted between the province and the counties according to local circumstances.
Ryu Kyungwan, a member of the Democratic Party of Korea in the Gyeongnam Provincial Assembly, is holding a press conference demanding the provincial government of Gyeongnam to bear the provincial expenses related to the pilot project of basic income for farming and fishing villages. Photo by Lee Seryung
In response to this policy, Ryu Kyungwan, a Democratic Party of Korea member of the Gyeongnam Provincial Assembly representing Namhae, held a press conference at the provincial assembly on September 22, criticizing, "The provincial government's refusal to provide provincial funding is effectively telling rural areas in Gyeongnam not to participate in this project."
He argued, "How can rural counties, whose fiscal independence rate is less than 10%, possibly shoulder the provincial government's share? This is a clear case of shirking responsibility and dereliction of duty by shifting the province's rightful responsibility onto the counties."
Assemblyman Ryu further stated, "This policy stands in stark contrast to other local governments, including Jeonnam, which are actively considering provincial funding, and it only deepens the sense of alienation and deprivation among rural residents in Gyeongnam. The provincial government must immediately withdraw its refusal to provide funding."
The Rural Basic Income Movement Gyeongnam Union, the National Federation of Fishermen's Associations Gyeongnam Headquarters, and the Western Gyeongnam Democratic Reform Council, who also held a press conference, echoed these sentiments.
The organizations criticized, "The Gyeongnam provincial government's decision is not solely due to poor local finances, but also represents political violence by judging the desperate survival issues of rural residents through political calculations and narrow ideological standards, thereby stifling policy experimentation for the public good."
They demanded, "Withdraw the decision to forgo provincial funding and commit to securing local government funds for the rural basic income project."
They plan to request a meeting with the governor immediately after the Chuseok holiday, as well as stage solo protests in front of the provincial office, hold head-shaving demonstrations, and pursue nationwide solidarity actions.
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